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View all search resultsGeopolitical uncertainty leads to mass layoffs in East Java
The most affected industries were timber and furniture, textiles, footwear, automotive components, and pulp and paper.
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President Prabowo Subianto (center) arrives at the National Monument (Monas) to attend the International Workers’ Day commemoration in Central Jakarta on May 1, 2026. (Antara/Galih Pradipta)
T
he threat of mass layoffs haunts workers in East Java after the province ranked third-highest across the country, with 6,154 workers fired as of September, according to the Manpower Ministry data.
Nationally, the total number of dismissed workers reached 63,789 people, who reported their situation through the unemployment benefit (JKP) scheme. West Java tops the layoffs count with 13,044 followed by Banten with 7,733 dismissed workers, East Java with 6,154, Central Java with 5,585 and Jakarta with 4,587 workers made redundant.
Head of industrial relations at East Java Manpower and Transmigration Agency, Sugeng Lestari, said that mass layoffs in the province were concentrated in six regions. Jombang led the tally with 1,462 workers, followed by Madiun with 506, Sidoarjo with 489, Surabaya with 485, Gresik with 211 and Mojokerto with 167.
“The main reason is weaker export demand, global geopolitical uncertainty, production and raw material costs increases and automation efforts,” he told a talk show in Surabaya on Oct. 8.
The most affected industries were timber and furniture, textiles, footwear, automotive components, and pulp and paper."
Sugeng, however, said the high number of JKP claims could not be used as the only indicator of employment situation in East Java.
“East Java’s third position cannot be used as the only indictor of high layoff figures,” he said.
